EBS rate changing to Buy-to-Let

[David-54321]

Looking for advice.

Moved for work in 2017, let out my house and I am now renting. Changed my details with EBS and ceased TRS with Revenue. Never missed or late with payments. House is in negative equity.

I went to EBS branch near work in Dec 2018 and spoke with mortgage advisor about my situation and discussed the options around a Negative Equity Mortgage (sell and buy near work). I received a quote for same. While there I fixed the rate for 12 months at 3% (I was on the standard variable rate). Advisor explained breakout fees would not apply if a new mortgage was with them.

I met with EBS again a few months ago to discuss negative equity mortgage options in more detail. Same branch, different advisor.

Over a month ago I received a reminder letter telling me the fixed rate term will be ending soon (31/12/19). The letter states the only rate options available to me are for Buy to Let: 5.08% variable, 5.4% 3 year fixed, etc.

Neither ESB advisor said I was on the wrong rate. Rental income has always been less than the mortgage. Repayments are going from approx. €1,000 to €1,170 p/m.

What do I do?

Regards,
David
Reluctant landlord

 

[Brendan Burgess]

Initially, write them a polite letter informing them of their mistake.

That this is family home and not a buy to let.

You are letting it while you are working away from home temporarily and would they please advise you of the rates for a family home.

See how they respond before you decide what to do next.

Brendan